Centex (CTX) NewsBite - Centex Down on Housing Data

Posted on Tuesday, June 17, 2008 2:04 PM

Centex Corp. (CTX) opened at 15.33. So far today, the stock has hit a low of 14.01 and a high of 15.44. CTX is now trading at 14.58, down 0.54 (-3.52%). The stock hit its 52 week high of 44.23 in July and set its 52 week low of 13.87 in June. CTX has been falling for the past year. Shares of homebuilders have been plunging today after data showed the pace of construction slowed to a 17-year low and inflationary pressure rose sharply. The Commerce Department announced that new housing projects started in May fell 3.3 percent to a pace that is the slowest in 17 years. Technical indicators for the stock are bearish and steady while S&P gives CTX a neutral 3 STARS (out of 5) hold rating. If you’re looking for a hedged play on this stock, consider an October bear-call credit spread above the $22.50 range. CTX stock could rise up to 54.3% before expiration and this position would still be profitable. [RHF - Seven Summits Strategic Investments NewsBite]